Nowadays, software applications are an essential part of our daily life. From the education sector to the hospitality & travel sector, business owners are looking for smart and user-friendly apps to stand in this digital world. But to build an app for your business is not a child’s play. You need to look for various factors such as the scope of your business app, right app development partner, pricing model and many more.
The application development is done by following the guidelines that are included in the Software Development Lifecycle (SDLC). We choose a pricing model for perfect implementation of applications. Fixed price model is the common and traditional pricing model used by most of the software development company.
Fixed price model is basically a model in which your app development budget is fixed. And time and requirement of the project are determined in advance.
Let’s know the pro and cons of this pricing model for developing an app solution for your business.
Pros of FP Model:
1) Less Risk Associated With it: This is the foremost benefit of a fixed price model. As we all know that if an application is developed with minimum risk factor then we can positively work on that with more dedication and concentration. In this model, there is no risk of loss for the client because the development team will bear all the cost if the desired goal is not achieved.
2) Fixed Aim and requirement: The second best thing in this model is that you know the goal in the initial stage that will help you in the further implementation of the project. You will exactly decide the time period and manpower used in the development project. The employee will not depart from the project until its completion.
3) The flow of Work will manage on their Own: Price model is basically a third party work. When you adopt this FP model you have not to worry about the workflow management because it is the headache of an outsourcing company that executes the project. Your project is developing under the guidance of expert professionals.
4) Achieve Goal in Right Time: In this pricing model, the terms and conditions are strict so that the application is developed on a precise date. The team members are highly motivated because they are paid for the actual result and they do best at their level for the desired project.
5) Easily Predictable: As all the requirement and cost is fixed in advance. So, it becomes easy for the developer to know the budget and workforce for the entire project.
Now have a look at the other side of the coin.
Cons of the FP model:
1) No Flexibility: This model is based on a fixed contract and it is difficult to make changes in it if required. This is the limitation of this project that it is not flexible.
2) Budget Restriction: The quality of the project may be hampered because the fixed price limits the developer. The software provider will work according to the budget.
3) No Accountability: There is no control of you in the project as it is mentioned in the agreement.
4) Business requirement gap: Any communication gap between you and the developer may impact on the desired output. You should have a clear business requirement in mind, otherwise, you would face a loss.
Well, we have read through the blog about the fixed pricing model for developing an application for your business needs and requirements. Every coin has two sides and so is the case with the fixed pricing model. It is up to you whether your business suits fixed pricing model or not. If your business works best with fixed pricing model strategy then you can connect with Appinop, leading mobile & web app development company which leverage your business with incredible app development solutions.
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